Receivers – Deeds of Appointment – Legal Office Notice No. 6 of 2014
It is general practice to request the lodgement of, (and to file on the Instrument), all original deeds and documents that ground applications for registration. Where it is shown that there are rights or interests, other than registered rights, which require the return of the original document to a party or their solicitor, the original is inspected and returned provided a certified copy is lodged for filing on the Instrument. Rules 13 and 152 of the Land Registration Rules 2012 generally govern this matter.
In order to facilitate professional insolvency and legal practitioners, who were acting for financial institutions on the appointment of receivers, a process was established, whereby original deeds of appointment of receivers were noted and returned by the Customer Service Units, (CSU) in advance of transfers by receivers being lodged for registration. Certified copies of the deeds of appointment were filed centrally and notifications were issued by CSU in each case to all staff advising that an additional certified copy deed of appointment of a receiver had been filed. The CSU also maintained an electronic index of deeds of appointment that had been noted and entered notes to that effect on the relevant Folios for the information of staff in the registration areas.
Due to ever increasing volumes, the resources being expended on maintaining the above mentioned process has become disproportionate to the risk of accepting certified copy deeds of appointment of receivers without sight of the original.
Therefore, pursuant to the general powers of the Authority, set out in Rule 182 of the Land Registration Rules 2012, a decision has been taken that production of the original deed of appointment of receivers is no longer required, either prior to or on lodgement of a transfer on sale executed by such receiver. It will be sufficient in future if a certified copy of the deed of appointment is lodged with each relevant transfer on sale by the receiver.
The above relates only to evidence of the deed appointment. The Authority will still require to be satisfied that the power of appointment was properly exercised, that the receiver was properly appointed and that the receiver has the power to sell the subject property.
In any case where the deed of appointment of a receiver, or a certified copy thereof is not lodged, same should be requested before proceeding with the registration of the transfer from the receiver.
This Office Notice applies mutatis mutandis to applications for first registration of the title of purchasers from receivers.
4 July 2014.